The following pertains to the Cereal Division of McKenzie Corporation. Conversion costs for this division were 80 percent complete as to beginning work-in-process inventory and 50 percent complete as to ending work-in-process inventory. Information about conversion costs for July is as follows:

The Cereal Division uses FIFO.

Required
a. What was the conversion cost of work-in-process inventory in the Cereal Division at July 31?
b. What were the conversion costs per equivalent unit produced last period and this period,respectively?

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Conversion Costs Units 300,000 $387,000 WIP at July 1 (80% complete). Units started and costs incurred during July ..--......1,620,000 2,178,000 Units completed and transferred to next department during July 1,200,000